§ Mr. FlynnTo ask the Secretary of State for Social Security what was the expected saving at 1992 prices, in total and per 100,000 claimants, from the extension of the unemployment disqualification period to 13 weeks in 1986 and 26 weeks in 1988, respectively, and the cumulative saving from the two extensions; and what are his latest estimates of the actual savings.
§ Mr. BurtI will write to the hon. Member with such information as is available as soon as possible.
§ Mr. FlynnTo ask the Secretary of State for Social Security whether he will update the estimate of the cost of reducing the unemployment disqualification period to six weeks, given in his reply to the hon. Member for Nottingham, North (Mr. Allen) on 21 January,Official Report, column 180; whether that estimate took into account the resulting savings in income support and housing benefit; what would be the net cost, taking these savings into account; on what assumption about the proportion of disqualified unemployment benefit claimants receiving income support his estimates are based; and what would be the net cost if that proportion fell to its May 1986 and November 1987 levels, respectively.
§ Mr. BurtThe estimate given in my reply to the hon. Member for Nottingham, North on 21 January remains at £35 million per annum at 1992 prices. This takes account of the resulting savings in income support and housing benefit.
961WThe estimate is based on the assumption that 75 per cent. of those disqualified due to their misconduct or voluntarily leaving their employment without just cause receive income support.
The net costs, assuming May 1986 and November 1987 levels of disqualification, would be £40 million and £35 million respectively.